X5 Finance prices $179M bond at 14.4% coupon
What's the deal? X5 FinanceDealroom has a profile for this one. Try Dealroom → has priced its series 003P-23 bond offering at US$225.4M (roughly $179 million), according to InterfaxDealroom has a profile for this one. Try Dealroom →, citing a source in the financial market. The book-building ran from 11:00 to 15:00 MSK on October 13.
The terms: The final coupon rate came in at 14.4% annually, equating to a yield of 15.39%. The rate on the second through 12th monthly coupons matches the first, with a one-year put option set.
Why now? The placement follows a second recent raise. On October 2, X5 Finance issued a 10-year floating-rate note, series 003P-22, worth US$338.1M.
How it works: That earlier note carries monthly coupons tied to the Central Bank's key rate plus a 120 basis-point spread, with a put option after 540 days.
The signal: The back-to-back issues point to X5's steady tapping of Russia's debt market, using both fixed and floating structures to lock in financing amid elevated interest rates.
Read more: vedomosti.ru
Image credit: Jeffrey Beall
